Record-Breaking Performance... Insurance and Card Companies' 'Bonus Party'

Samsung Affiliate Financial Companies to Pay Up to 50% Annual Bonus
Major Bonuses Also Set by Each Non-Life Insurer and Card Company

[Asia Economy Reporter Minwoo Lee] Last year, insurance companies and card companies achieved record-breaking performances and paid out large bonuses.

According to the financial sector on the 2nd, Samsung Fire & Marine Insurance paid employees bonuses equivalent to 47% of their annual salary on the 31st of last month. This is the largest amount ever. Samsung Life Insurance and Samsung Card also paid bonuses amounting to 23% and 50% of annual salaries, respectively.

Non-life insurance companies also held a 'bonus feast' one after another. This is attributed to the fact that last year, automobile accidents decreased, lowering the loss ratio of automobile insurance, and the loss ratio of indemnity insurance also improved, resulting in strong performances across non-life insurers. DB Insurance paid bonuses equivalent to 41% of annual salaries on the 31st of last month. After surpassing operating profits of 1 trillion won for the first time in history in 2021, similarly strong results are expected for last year as well. KB Insurance set bonuses at 550% of the monthly bonus standard. Hyundai Marine & Fire Insurance is also expected to pay bonuses at around 30% of annual salaries due to strong performance. Meritz Fire & Marine Insurance is estimated to set bonuses at about 40% of annual salaries.

Following Samsung Card, which has already paid bonuses, the bonus amounts of card companies such as Shinhan Card and Lotte Card are also expected to increase compared to last year. This is because card companies are estimated to have achieved a record net profit exceeding 3 trillion won last year. The total net profit of all card companies from the first to third quarters of last year already recorded 2.2787 trillion won. By company, Shinhan Card earned 563.3 billion won, Samsung Card 454.3 billion won, KB Kookmin Card 341.7 billion won, Lotte Card 258.6 billion won, and Hyundai Card 210.1 billion won.